CBI Arrests Nirav Modi Aide Sandeep Mistry After Extradition From UAE In PNB Scam Case

The Central Bureau of Investigation (CBI) arrested Sandeep Mistry, an associate of fugitive businessman Nirav Modi, in Mumbai on Tuesday after his extradition from the UAE in connection with the Punjab National Bank (PNB) scam.

Mistry was extradited on Monday and formally arrested by the CBI on Tuesday. The agency produced him before a special CBI court but did not seek his remand. The court subsequently sent him to judicial custody till October 6.

The arrest was carried out in compliance with a non-bailable warrant issued by a special court in November 2025.

CBI alleges role in Rs6,498.20 crore fraud

Mistry was a director of Fancy Creations Ltd, a Hong Kong-based company linked to Nirav Modi.

The CBI alleged that Mistry played an active role in the criminal conspiracy with Modi and other accused persons, in furtherance of which the PNB was cheated of nearly Rs6,498.20 crore.

Employees allegedly threatened

The agency also alleged that Mistry, along with Modi’s brother Nehal and another wanted accused, threatened employees who were dummy directors of companies associated with Modi in Dubai after the case was registered in India.

According to the CBI, the employees were forced to leave Dubai and move to Cairo under threats that they could also be arrested. The accused allegedly destroyed their mobile phones to erase evidence.

PNB fraud under investigation since 2018

Nirav Modi, his uncle Mehul Choksi and others have been under investigation by the Enforcement Directorate (ED) since 2018 on money laundering charges and are also being investigated by the CBI.

They are accused of perpetrating a bank fraud of more than USD2 billion, or over Rs13,000 crore, in connivance with bank officials. The alleged fraud involved fraudulent Letters of Undertaking (LoUs) issued at the Brady House PNB branch in Mumbai.